S.B. No. 897 is a bill aimed at enhancing the administration of a grant program that supports community mental health initiatives for veterans and their families. The bill amends Sections 547.0304 and 547.0305 of the Government Code, effective April 1, 2025, to adjust the matching grant conditions based on county population sizes. Specifically, for counties with populations of 250,000 or more, the required matching funds from non-state sources will be reduced from 100 percent to 75 percent of the grant amount. This change applies to both single-county and multi-county community mental health programs.

Additionally, the bill stipulates that the changes will only apply to grants awarded on or after the effective date, with previous grants remaining governed by the existing law. The Health and Human Services Commission is tasked with implementing these changes only if the legislature allocates sufficient funding for this purpose. If not, the commission may choose to implement the changes using other available funds. The bill is set to take effect on September 1, 2025.